Private Sector Empty Homes Strategy 2021-2026 - Stoke ...

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Private Sector Empty Homes Strategy 2021-2026 - Stoke ...
Private Sector
Empty Homes Strategy
     2021-2026
Private Sector Empty Homes Strategy 2021-2026 - Stoke ...
Foreword
Since the publication of the last Empty Homes Strategy in 2014 the Empty Homes
Team has brought 1,173 empty homes back into use. As a result of this effort there
has been over £12.5 million private investment spent on improving the condition of
empty homes within the city. This has been achieved using a combination of advice,
assistance; grant funding and utilising enforcement powers, where necessary.

This new Strategy builds on our experience over the last 5 years and sets out our
commitment to continue working to foster innovative approaches for dealing with
empty homes. We remain committed to tackling the blight of empty homes and to
our proactive approaches in supporting owners to help them to return their properties
back into use.

Empty homes are a wasted housing resource, both for individual owners and for the
local community. Long-term empty homes can fall into a state of disrepair and
become dangerous as well as have a negative social and environmental impact on
our local communities. A coordinated and sustainable approach is required in order
to deliver an increase in housing supply, improve property standards and reduce the
number of empty homes to regenerate our city. Returning an empty home back into
use is usually a more cost-effective option than either redeveloping a site or building
a new home.

The Council and its partners have achieved a great deal in relation to bringing empty
homes back into use over the last five years, but there is still a great deal more to do.
This Empty Homes Strategy has been informed through consultation with partner
agencies and local communities across the city.

Councillor Carl Edwards
Cabinet Member for Housing and Environment

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Private Sector Empty Homes Strategy 2021-2026 - Stoke ...
Contents                                                                 Page
1.   The Empty Homes Strategy Aims and Objectives
     Vision                                                                    5
     Aim                                                                       5
     Objectives                                                                5
2.   Defining the problem
     What is an empty home                                                     6
     Why do homes become empty                                                 6
     Problems associated with long term empty homes                            7
     Benefits of returning empty homes back into use                           8
3.   National and Local Strategic Context
     Level of vacant dwellings nationally                                      9
     Action on Empty Homes                                                     9
     Council Tax Changes                                                       10
     New Homes Bonus                                                           11
     The Strategic Context                                                     12
     Links to other Policies and Strategies                                    13
4.   Local Housing Context
     Property type and tenure within the city                                  14
     Vacancy rates within the city                                             16
5.   The Approach to Empty Homes and the tools used
     Resources – The Empty Homes Team                                          17
     How empty properties are identified and prioritised                       17
     Empty Homes Team Tools:                                                   19
            Investigation, intelligence gathering, help, advice and support    19
            Technical refurbishment advice                                     19
            Landlord Accreditation Scheme North Staffordshire                  21
            Landlord Accreditation Scheme Empty Homes Grant                    21
            Empty Property Loans                                               22
            Bond Scheme                                                        22
            Landlord Accreditation Scheme Matching Service                     22
            Partnership Working                                                22
     Enforcement Action:                                                       23
            Compulsory Purchase Orders                                         23
            Order for Sale                                                     24
            Enforced Sale                                                      25
     Schemes to bring empty homes back into use:                               26
            Reviving Communities Scheme                                        26
            Help to Buy Scheme                                                 26
6.   Empty Homes Team Achievements
     Number of empty properties brought back into use                          26
     Property Conversions                                                      27
     Private Sector Investment                                                 27
     Securing and recovering Council Tax Debt                                  28
     Empty Home Grants                                                         28
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Private Sector Empty Homes Strategy 2021-2026 - Stoke ...
Case Studies                                                 29

 7.   Delivering the Empty Homes Strategy                          33
 8.   Action Plan                                                  34
 9.   Consultation                                                 34
10.   Contact Details                                              34
11.   Appendices
      1: Empty Homes Strategy Action Plan                          35
      2: City Map: Empty homes and length of time empty            37
      3: City Map: Empty homes and council tax band                38
      4: City Map: Empty homes and index of multiple deprivation   39
      5: Enforcement options in relation to Empty homes            40
      6: Consultation Plan                                         43

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Private Sector Empty Homes Strategy 2021-2026 - Stoke ...
1.        Empty Homes Strategy Aims and Objectives
Vision

Our vision is to bring long term empty homes back into use to improve the quality
and supply of housing and to enable our residents to fulfil their potential.

Aim

The key aim of the Empty Homes Strategy (The Strategy) is to enhance Stoke-on-
Trent’s housing offer by strategically directing resources in order to bring empty
properties back into use as high quality, affordable homes. The local direction is in
line with the Government’s policy which is set out in the National Planning Policy
Framework.

Objectives

The main objectives of The Strategy are:

         To identify those long-term empty homes which are having a negative impact
          on the city and its communities.
         To contribute to the reduction in the number of empty homes within the city.
         To check the information held by the Revenues Team regarding empty homes
          periodically and then write to the owners of each long term empty home to
          offer guidance.
         To provide specialist advice, support and incentives to empty home owners.
         To develop an innovative and a coordinated approach across the Council to
          bring empty homes back into use.
         To raise awareness of the potential of empty homes as high-quality
          accommodation.
         To improve property conditions within the city.
         To help to revive the housing market within the city.
         To improve neighbourhoods by reducing the opportunities for crime and anti-
          social behaviour.
         To make Stoke on Trent a more attractive place to live.
         To provide affordable home ownership and tenancy opportunities within the
          city.

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Private Sector Empty Homes Strategy 2021-2026 - Stoke ...
2.       Defining the Problem
What is an empty home?

In order to function effectively and to allow for residential mobility, the housing
market needs to include a number of empty properties. These transitional empty
periods are when a property is either between lettings, up for sale or undergoing
repairs. Additionally, some properties are not occupied all of the time, for example,
holiday homes. These properties do not require intervention by the City Council.
The focus of this strategy is those long-term empty homes which have been empty
for six months or more, with a primary focus on those that have been empty for
more than two years.

                    Examples of two long term empty properties

Why do homes become empty?

There are many reasons why homes initially become empty and are allowed to
remain empty for long periods of time. These include, but are not limited to:
        Inheritance
        Owner lacks the time, skills, capabilities or resources.
        Owner has lost interest following issues with the property or tenants.
        Repossession
        Prohibition Order
        Abandonment
        Owners may be in hospital, residential care or prison.
        Complications with probate. This can include instances where an owner has
         passed away, leaving no living relative.
        Property is subject to a legal dispute, i.e. a divorce settlement.
        Awaiting planning consent.
        Purchased as an investment and allowed to remain empty waiting for a capital
         gain.

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Private Sector Empty Homes Strategy 2021-2026 - Stoke ...
Problems associated with long term empty homes

Empty homes represent a wasted resource and a missed opportunity which can
have a negative impact on local communities. The problems associated with empty
homes include:

       Causing damage to neighbouring properties.
       Affecting neighbouring house prices.
       Denying a home to those in housing need.
       Having a negative effect on communities whilst becoming a potential focal
        point for illegal activities and anti-social behaviour, including squatting and
        vandalism.
       Attracting fly tipping and subsequent issues with vermin.
       Increased renovation costs as a result of deteriorating property conditions.
       Increased strain and expense on other public services, including the Police
        and Fire Service.
       Being a risk to the public through unsafe structures.

             Evidence of fly tipping in two long term empty properties

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Private Sector Empty Homes Strategy 2021-2026 - Stoke ...
Benefits of returning empty homes back into use

There are many benefits of returning empty homes back into use. These include:

        Increasing the housing supply within the city for those in housing need.
        Recycle a wasted available resource.
        Enhance the local residential environment.
        Reduce the fear of and risk of crime and anti-social behaviour taking place.
        Contribute towards a balanced housing market.
        Reduce the reliance on new build properties to meet housing need. This
         helps to combat climate change as the amount of materials needed to achieve
         a housing gain is reduced and the amount of land needed is minimised.
        Modernisation of the city’s older housing stock and raising its value.
        Regenerating run-down areas.
        Enhancing the vitality of town centres.
        Helping to tackle homelessness.
        Aid community cohesion by removing a potential magnet for anti social
         behavior and associated problems.
        Provide both work and training opportunities for local trades people.

               Before and after photos of a long term empty property

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Private Sector Empty Homes Strategy 2021-2026 - Stoke ...
3.          National and Local Strategic Context
Level of vacant dwellings nationally

In October 2019 there were 24.4 million dwellings in England. Of these, 648,114
were vacant which equates to 2.6% of the total dwelling stock. Of these, 225,845
dwellings were categorised as long-term vacant, which saw an increase of 9,659
(4.5%) from the previous year. Long-term vacant dwellings make up 0.9 per cent of
the total dwelling stock within England.1 These high levels of empty properties are
recognised as having a serious impact on the viability of communities.2 Dealing with
empty properties can have social, regenerative, financial and strategic benefits.

In 2019 the National Planning Policy Framework3 was updated. It included the
expectation that local authorities will address empty home issues locally. The
Framework states that plans and decisions should support efforts to identify and
bring back into residential use empty homes and other buildings, supported by the
use of compulsory purchase powers, where appropriate.

Action on Empty Homes

Action on Empty Homes is a charity which campaigns for empty homes to be
brought back into use for people in housing need or those who are priced out of
decent housing. The charities aim is to:

            Campaign for changes to national policy.
            Raise awareness of the waste of long-term empty homes.
            Support local communities in transforming their neighbourhoods.
            Provide advice for those seeking to bring empty homes back into use.
            Research and develop ideas for bringing long-term empty homes back into
             use for those in housing need.

 1
  According to statistics published by the Ministry of Housing, Communities and Local Government:
 assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/886251/Dwelling_Stock_Estimates
 _31_March_2019_England.pdf

 2
     House of Commons Briefing 2019. https://researchbriefings.files.parliament.uk/documents/SN03012/SN03012.pdf

 3
  Https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/810197/NPPF_Feb_2019_r
 evised.pdf

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Private Sector Empty Homes Strategy 2021-2026 - Stoke ...
Action on Empty Homes produced a report titled Empty Homes in England 20194.
This report made several recommendations on how to bring more empty homes
back into use. The recommendations included the following:

           Local Authorities should adopt a strategic approach to empty homes and
            ensure that approaches in neighbourhoods with high levels of empty homes fit
            within a local authority-wide empty homes strategy.
           Local Authorities should seek funding and allocate resources to buy and
            refurbish empty properties for people in housing need. They should also
            support community-based organisations and housing associations who wish
            to bring empty homes back into use.
           Central Government should re-establish dedicated funding programmes to
            support local authorities and housing providers to create affordable housing
            from long-term empty homes in all parts of England.
           Central Government should review how the legal powers available to local
            authorities to tackle empty homes and poor standards of management in the
            private rented sector could be improved.

Council Tax Changes

New legislation that was introduced in April, 2019, namely the Rating (Property in
Common Occupation) and Council Tax Act 2018 (“the Act”) allows Councils to increase
the Council Tax Empty Homes Premium that can be charged on long term empty
homes. The Act amends section 11B of the Local Government Finance Act 1992. The
aim of this Premium is to incentivise empty home owners to bring their properties back
into use by removing reductions or exemptions that were previously awarded.

In Stoke on Trent it was determined that with regard to council tax liability, the following
Empty Homes Premium would be applied, in accordance with the dates and the
amounts set out below:

For the financial year beginning 1 April 2019, the additional Empty Homes Premium
was 100% for properties that had been empty for at least two years.

 4
     https://www.actiononemptyhomes.org/Handlers/Download.ashx?IDMF=a5ea72d6-b24a-4f8e-8dc0-451a6da170e6

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For the financial year beginning 1 April 2020 the additional premium is as follows:

       100% Premium for properties that have been empty for at least two years.
       200% Premium for properties that have been empty for at least five years.

For the financial year beginning on or after the 1 April 2021, the additional premiums
shall be as follows:

       100% Premium for properties that have been empty for at least two years.
       200% Premium for properties that have been empty for at least five years, but
        less than 10 years.
       300% Premium for properties that have been empty for at least ten years.

New Homes Bonus

The New Homes Bonus was introduced in 2011 to provide an incentive for local
Councils to support housing growth by increasing the number of homes. Following a
consultation, a number of reforms were announced in December 2016:

       Reduction of the number of years New Homes Bonus payments are made
        (legacy payments) from 6 to 5 years in 2017-18, reducing to 4 years from
        2018-19;

       Introduction of a national baseline for housing growth of 0.4% of council tax
        base (weighted by band) from 2017-18, below which New Homes Bonus will
        not be paid.

In 2018 Stoke on Trent had 1865 long term empty homes which reduced to 1670 in
2019. This reduction helped to secure a New Homes Bonus Payment to the Council.
New Homes Bonus payments will be made in 2020-21 as a one year payment and the
future of payments beyond this date is uncertain and may change following planned
consultation as part of the 2020 Spending Review.

                Before and after photos of a long term empty property

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The Strategic Context

Housing Strategy and Stronger Together Plan

 This Strategy is in line with the Housing Strategy 2017 – 2022 and the Stronger
 Together Strategic Plan for 2020 – 2024 which sets out the vision and overarching
 priorities of the Council. Two of the objectives of the Housing Strategy are:

       To improve the condition and liveability of existing homes and rental
        management practices in the city.
       To respond well to government requirements and make the most of
        government initiatives that relate to housing.

The Strategy will help to contribute to the achievement of the following key Stronger
Together priorities:

Work with our communities to make them healthier, safer and more sustainable.
Delivery of the Strategy will support communities by improving the local environment
and the quality of life of local residents. By removing boarded up and problematic
empty properties it will improve the visual appearance of an area and reduce anti-
social behaviour and crime and help to make our communities more sustainable. This
will increase confidence in an area, encouraging investment in the repairs and
renovation of properties, making our communities more sustainable.

An innovative and commercial council, providing effective leadership to help
transform outcomes.
Through the delivery of the match funded grants, the Council is leveraging in very
high levels of private investment; over £12m worth of private investment has been
spent on improving the city’s empty properties, creating quality homes for those in
need of housing. The actions of the team have led to the re-use of redundant
commercial properties into flats for single households, increasing supply
exponentially as well as increasing the council tax base and thus generating income.

Support vulnerable people in our communities to live their lives well.
By bringing empty homes back into use the Council is supporting people to access
appropriate accommodation that meets their housing needs. In addition to this, by
removing boarded up properties it helps vulnerable residents to live better and
healthier lives with a reduction in the fear of crime and anti-social behaviour that they
face on a daily basis. The reduction in opportunities for fly tipping has immeasurable
benefits for the local community, giving people the opportunity to live in a clean and
safe environment.

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Enable our resident to fulfill their potential
The work of the Council in this area provides help to many residents by improving the
quality and quantity of housing across the city. Living in decent housing helps
residents to be healthy and this allows them to live their lives, whether that be in
securing work or prospering in their education. However, without a decent home, the
life chances are restricted and hampered. Furthermore, living in close proximity to an
empty property, for some, can be a huge challenge whilst experiencing issues on a
daily basis. This can have a negative impact on the mental and physical health of
residents. Bringing empty homes back into use will reduce those negative
experiences which will help residents to live their lives better.

Help businesses to thrive and make our city prosperous
The refurbishment of long term empty homes results in a high level of investment into
the housing stock, which in turn brings trade to local businesses for materials and
equipment to undertake whole house renovations. Owners have invested over £12m
through the Council’s work on bringing long term empty homes back into use since
the publication of the last strategy which has benefitted local businesses.

Links to other Policies and Strategies

The Empty Homes Strategy contributes to at least the delivery of the following
Council Policies and Strategies:

       The Housing Strategy 2017 – 2022
       The Homelessness and Rough Sleeping Strategy 2020 – 2025
       The Allocations Policy 2020
       The Housing Renewal Assistance Policy 2016 – 2020
       Safer City Partnership Strategy 2017 – 2020
       Fuel Poverty Strategy 2016 – 2020
       Joint Health and Well-being Strategy 2016 – 2020
       Adults’ Strategic Partnership Plan 2016 -2020
       The Children, Young People and Family Plan 2016 – 2020

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4.     Local Housing Context
Property type and tenure within the city

The city’s Private Sector Housing Stock Condition Survey 2017 provides useful data
to inform the Council’s approach to the management of empty homes within the city.

The survey found that vacancy rates vary significantly across the housing stock and
geographically across the City. Within the housing stock rates of vacancy are higher
within the private-rented sector; estimated at 17.2% compared to 4.6% within the
owner-occupied sector. Highest rates of vacancy are associated with the pre-1919
and inter-war housing stock, with terraced housing and with flats in converted or
mixed use buildings.

Data from this survey details private sector housing in the city is representative of all
building eras but is predominantly of post Second World War construction. 52,285
dwellings (57.9%) were constructed post 1944. Of these, 21,649 (41.4%) were
constructed post 1980.

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There were 37,973 dwellings (42.1%) constructed pre 1945. Within this group,
17,308 dwellings (19.5%) were constructed pre 1919 and 20,665 dwellings (22.9%)
were constructed in the inter-war period; 1919 – 1944.

Owner occupation is the most predominant form of private sector tenure within the
occupied housing stock accounting for 62,706 dwellings (75.5%). 20,317 occupied
dwellings are privately rented (24.5%). There has been significant growth in the
private rented sector since the previous stock condition survey in 2009 with a rise in
occupied private rented stock from 12.4% to 24.5% in 2017. Owner occupation has
decreased from 87.6% in 2009 to 75.5% in 2017.

*Includes owned by other Local Authorities
Source of data: https://www.gov.uk/government/statistical-data-sets/live-tables-on-
dwelling-stock-including-vacants

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Vacancy Rates within the city

The Council Tax Base Data identifies that as at 7 October 2019 there were 3,624
chargeable dwellings classed as empty within the city. Of these, 1,670 dwellings
were classed as empty for more than 6 months. The remaining vacant properties
have been vacant under 6 months and are expected to return to occupancy within
the short-term without significant intervention from the Council. These include
dwellings which are being marketed for sale or for let and those that are currently
undergoing repairs and improvements.

Vacancy rates vary significantly across the housing stock and geographically across
the City, as can be seen on the map in Appendix 2.

The highest rates of vacancy can be seen in properties which fall within Council Tax
Band A and are typically terraced houses and flats in converted or mixed use
buildings. This can be seen on the map in Appendix 3. It is clear that there are few
empty properties which fall within Council Tax Band D-H.

Stoke-on-Trent is currently ranked the 14th most deprived Local Authority in England5
out of 326. 136,221 people in the city live in the top 20% most deprived areas. This
figure is unchanged since 2010. Overall, private rented properties and high vacancy
rates are much more likely to be located in deprived areas of the city as seen in the
map in Appendix 4.

 5
     https://www.gov.uk/government/statistics/english-indices-of-deprivation-2019

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5.     The Approach to Empty Homes
Resources – The Empty Homes Team

The Council’s Empty Homes Team sits within the wider Private Sector Housing
Team in the Housing, Development and Growth Directorate and takes the lead on
the delivery of this Strategy. The Empty Homes Team consists of an Empty
Homes Manager, one Environmental Health Officer, three Empty Homes Officers,
one Environmental Health Assistant, two Court and Appeals Officers (temporary)
and one Project Lead Officer (temporary).

The Empty Home Team’s main approach is to build and maintain a relationship with
empty home owners to encourage, persuade and support them to bring their
property back into use voluntarily. There are many challenges that the team face as
there are unique reasons why each property has been allowed to remain empty.

How are empty homes identified and prioritised

The Team have a number of ways of identifying empty homes and tracing its owner.
The principle data source is Council Tax records which assist in the identification of
long-term empty properties within the city along with the ownership details. On
occasion, the ownership of a property is complicated as the owner may have passed
away or there could be an ongoing legal dispute. In addition to this, some owners
simply abandon their property leaving no up to date contact details on record. In
these instances, officers carry out a search at the Land Registry and also undertake
an extensive tracing exercise.

The team is often reliant upon the information provided to them by residents,
Councillors, landlords, police, fire service and other partners including Registered
Providers. These sources are crucial in ensuring that the information the Council
hold is as accurate as possible and allows the team to target resources where they
are needed most.

Once owners have been identified, officers undertake an external inspection to
ascertain the condition of the property and the impact that it is having on the area. A
letter is then sent to the owner making them aware of the problems their property is
causing and the general issues surrounding leaving properties empty and providing
a summary of the help and advice that the team can provide. Owners are offered
advice on selling, renting, signposting and free technical advice concerning any
refurbishment works.

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A questionnaire is included with this letter seeking further information as to why the
property has been allowed to remain empty, the internal condition and any problems
that the owner is facing with bringing the property back into use. This questionnaire
allows officers to research further options in order to provide bespoke solutions to
bringing each property back into use. It also ensures that equality is maintained
throughout the service.

To ensure that resources are allocated appropriately, officers examine lots of factors
surrounding each empty property. This research allows officers to target resources
to those properties which pose the biggest risk to an area if the property were to
remain empty. Some of the factors that are taken into consideration include:

       Environmental factors, such as boarded up windows, accumulated rubbish/fly
        tipping, overgrown gardens and unsightly fire damaged properties.
       Social factors, which include if the property is a source of crime, vandalism,
        graffiti and anti-social behaviour.
       Health and safety factors, such as levels of disrepair or whether the property
        is in a condition that affects the structure of neighbouring properties or poses
        a hazard to the public. This can include pest activity.
       The length of time the property has been empty.

           An example of some long term problematic empty properties

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The Empty Home Team’s Tool Kit

Investigation, intelligence gathering, help, advice and support

The Empty Homes Officer’s role is to undertake extensive investigation to locate the owner
but then to ascertain the history behind the empty property and to build a rapport with the
owner. There are a huge number of reasons why properties are abandoned and remain
empty for years. There are often sad and challenging situations surrounding empty
properties; often properties are owned by multiple owners and the Empty Homes Officer’s
role is to gather as much information to formulate a solution and support and help the owner
to understand the implications so that the property can be returned back into a home once
again. The Empty Homes Officer is required to provide extensive bespoke support, often
involving various services and engaging with agencies to help address the situations with
each property. Each case is unique and requires negotiation and mediation skills as well as
the ability to listen and provide care and support. The vast majority of cases are resolved
without enforcement action, this is because of the level of support and help and assistance
given to the owner.

               Before and after photos following City Council intervention

Technical Refurbishment Advice

Where an owner wants to bring a property back into use but lacks the technical knowledge
required to undertake the repairs, the Environmental Health Officer (EHO) offers a free
advisory service. The EHO will offer technical advice on all types of property repairs
                                                                                    19
including identifying hazards to health and the appropriate remedial action to remove them.
The officer provides advice and guidance throughout the refurbishment, until the works are
complete. Advice will also be offered concerning energy efficiency measures. This service
ensures that those properties which are brought back into use are of a high standard and
energy efficient. This is particularly important as it is estimated that in excess of 1500 rental
properties within the city fall below the minimum Energy Performance Rating required under
the Energy Efficiency (Private Rented Properties) (England and Wales) Regulations 2015. It is
estimated that over 40,000 properties in the city have a low energy rating of E to G.

Current fuel poverty estimates suggest that 14.7% of residents in the city are in fuel poverty
which is higher than the national figure of 10.9%. National statistics show that the required
fuel costs for residents living in the least efficient homes are three times higher than those
costs for the most efficient properties. People living in properties with an EPC rating of G are
therefore almost three times more likely to be fuel poor.

 Before, during and after photos following the renovation of an empty commercial unit

                                                                                       20
Landlord Accreditation Scheme North Staffordshire

When owners express an interest in keeping their property and letting it out, they are
encouraged to join the Landlord Accreditation Scheme North Staffs. The aim of this
scheme is to improve property standards and promote good management in the
private rented sector. Landlords are kept up to date on new legislation or products on
offer and any area which is related to the private rented sector. The Scheme is run as
a partnership between Stoke on Trent City Council and Newcastle-under-Lyme
Borough Council.

This is a voluntary scheme available to any private landlord who owns and rents out
properties in the North Staffordshire area, whether they are locally based or not. By
encouraging landlords to join this scheme, it helps to encourage and ensure good
standards are maintained within the property for years to come. More information
about this scheme can be obtained at www.landlordaccreditation.co.uk.

Landlord Accreditation Empty Homes Grant

The Empty Homes Team assists the Landlord Development Officer to deliver the
Landlord Accreditation Scheme’s Empty Homes Grant. When owners wish to let their
property but lack the funds to undertake the necessary refurbishment works, they are
offered a match funded grant. This grant is offered to Accredited Landlords to help
them to bring long term empty homes back into use as high quality and energy
efficient accommodation. The EHO compiles a list of works required and ensures that
the property is completed to a safe and decent standard. Full details are set out in the
Council’s Housing Renewal Assistance Policy6.

                Before and after photos of the renovation of a long term empty unit
 6
     https://www.stoke.gov.uk/downloads/file/70/housing_renewal_assistance_policy

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Empty Property Loans

Interest Free Empty Home Loans are available to help owners to bring their
properties back into use. To qualify for an Empty Homes Loan the property must
have been empty for six months or more and the owner must be in a position to
make regular repayments against the loan.

Bond Scheme

When owners are having difficulty finding a tenant, they can be signposted to the
Bond Guarantee Scheme which is operated by the Council. This scheme is an
incentive to private landlords to let their properties to people who are either on a low
income or on benefits and who ordinarily would have found it difficult to raise a
deposit for a tenancy. The Bond itself is a promissory agreement by the Council to
pay landlords in the event of a customer breaking the agreement. No money is paid
out unless there is a claim. This means that the landlord does not need to secure the
monies into a deposit scheme and it helps those tenants who are on low income and
ordinarily would have been priced out of renting in the private rented sector.

Landlord Accreditation Matching Service

When an owner expresses an interest in selling their property, the owner is offered
the opportunity to advertise their property for sale, free of charge to accredited
landlords through the Matching Service. Details of each empty property is sent
through to those accredited landlords who are looking to expand their portfolio.
Accredited Landlords can then contact empty home owners over a prospective sale.

Partnership Working

The success of the empty homes service is dependent upon good working
relationships between agencies and inter-departmental teams, including those listed
below.

       City Council Revenues and Benefits Team
       Landlord Accreditation Scheme North Staffordshire
       Environmental Crime Unit
       Housing Enabling Team
       Housing Solutions Team
       Bond Officer
       ASB Team
       Adult Social Care
       Governance, Legal
       Dangerous Structures
       Building Control

                                                                                           22
   Planning Team
       Staffordshire Fire & Rescue
       Staffordshire Police
       Other Local Authorities & Registered Providers
       ‘Action on Empty Homes’
       West Midlands Empty Homes Officer Group

Enforcement Action

The Council will always try to resolve cases through voluntary measures and by
providing encouragement, advice and incentives to the owner. If owners maintain
communication with the team, support will be provided right up until the property has
been brought back into use. Where owners are unwilling to engage or fail to take
responsibility for their property, the team escalate their involvement ranging from
offering help and support up to enforcement action, where appropriate. When a
property is having a detrimental impact on the community and there is no commitment
by the owner to remedy the problem, the Council will decide the most appropriate type
of enforcement action to take. The decision to use a particular power will be
dependent upon the condition and location of the property, the circumstances of the
owner, the level of housing need and the level of public funding available to the
Council. All enforcement action is taken in accordance with the Private Sector Housing
Enforcement Policy. Some of the enforcement measures used by the Team include:

       Compulsory Purchase Orders

Compulsory Purchase Orders may be used to acquire houses, or buildings which
may be made suitable for houses, to address housing need.

                                                                                    23

                                                                                     23
There are currently 2,187 live applications for council housing within the city and 1,024
of these applicants are considered to be in high housing need.

Occasionally enforcement action is necessary in order to meet the housing need
demonstrated above. It is for this reason that the Council will consider Compulsory
Purchasing long term empty homes when the owner fails to take responsibility for
bringing their property back into use. Since the last strategy was published the Empty
Homes Team have undertaken 5 Compulsory Purchase Orders to bring some of the
most problematic and long term empty homes back into use.

Before and after photos following the renovation of a long term empty property

      Order for Sale to recover debt

Where there is over £1,000 Council Tax debt owed on an empty property the Court
and Appeals Officer applies for a Charging Order to secure this debt against the empty
property. The owner is provided with help and advice regarding both the debt and
empty property. If the owner does not make any repayments or commit to bring the
property back into use, the Council is then able to apply to the Courts to enforce the
Charging Order and obtain an Order for Sale which allows the Council to sell the empty
property on the open market to recover the debt. The owner’s circumstances will be
taken into consideration and enforcement action will only be used as a last resort.
Since 2014 the Empty Homes Team have obtained three Orders for Sale therefore
recovering the debt owed to the Council and bringing three additional properties back
into the useful housing stock of the city. The team works with the new owners to
ensure that the property is brought back into use and is safe and warm.

                                                                                        24
     Enforced Sale to recover debt

The Council has the right to sell a property where, acting under a statutory power, the
Council has incurred costs as a result of works it has taken in default of the owner of
the property. Provided such costs are capable of being deemed to be a charge against
that property, then a power of sale arises in favour of the Council. Before such a
power can be exercised, a formal notice demanding payment of the money has to be
served on the owner of the property. If following the service of this demand, the
Council’s costs remain outstanding; the Council can then proceed to sell the property.
This action is only used as a last resort and the owner will be provided with help and
advice regarding both the debt and the empty property before this enforcement action
is considered. The Empty Homes Team are currently looking to progress their first
Enforced Sale during 2021.

Appendix 5 sets out a full list of the enforcement tools used to tackle empty homes.

              Before, during and after photos of an enforcement case

                                                                                       25
Schemes to bring Empty Homes back into use

Reviving Communities Scheme

The Reviving Communities scheme is the second phase of the highly acclaimed
Clusters of Empty Homes Programme, commonly referred to as the £1 Homes
Scheme. The second phase builds upon the vision of a strong, healthy, thriving
community in the Portland Street area which historically has had a high number of
empty properties and some poor property conditions. This scheme will address not
only housing market decline but also help to create safe and clean streets; build a
community and contribute to a stronger Stoke-on-Trent.

The team have negotiated and acquired 19 long term empty properties within the
Portland Street area. These properties are currently being refurbished by contractors
through the Councils’ wholly owned repair company Unitas Stoke-on-Trent. Upon
completion, the selected applicants, who have been assessed against the scheme’s
eligibility criteria and conditions, will be assigned a property based on their need and
personal circumstances.

Help to Buy

The Private Sector Housing Team will launch the Help to Buy – Stoke-on-Trent
scheme in 2021. This scheme has been developed to support local people or those
with a connection to the city and aspire to home ownership to purchase an empty
property by loaning applicants the deposit to help them to secure a mortgage. This
financial assistance will be directly linked to homes which have been empty for
longer than six months at the time of completion of sale and have a sale price of
£150,000 or less. Applicants will not be charged any interest in the first 5 years and
thereafter 1.5% for two years and 3% thereafter. The deposit is to be paid back
within 20 years.

6. Empty Home Team’s Achievements
Since the last Empty Homes Strategy was produced in 2014 the Team has achieved a
great deal of success in its objective of bringing some of the city’s most long term
and problematic empty homes back into use.

Number of properties brought back into housing use

The number of long-term empty properties brought back into use through active
involvement by the Empty Homes Team is as follows:

                                                                                         26
Time Period       Number of
                    properties
                 returned to use
  2014/2015            173
  2015/2016            181
  2016/2017            181
  2017/2018            234
  2018/2019            201
  2019/2020            203
     Total            1,173

Property Conversions

In addition to the return of empty properties, the EHO provides advice to owners on
the conversion of empty commercial and domestic single units into either Houses of
Multiple Occupancy (HMO) or self-contained flats. This advice not only helps to
create additional units of accommodation, but also increases the Council Tax Base
and therefore revenue into the General Fund.

        Time period           Amount of Additional       Additional Council Tax
                              Housing Units created      Accounts on the Ctax
                                                                 Base
        2017 - 2020                    164                         35
   Total increase in Ctax            £107,974
The above 164 properties are not included in the 638 empty homes brought back
into use during 2017 – 2020 but are in addition to these numbers.

Private Sector Investment

The Empty Homes Team offer owners’ technical advice on their property repairs and
also offer match funded Empty Home Grants. This activity helps to encourage
private investment into the private housing stock within the city. The table below
demonstrates the high level of investment by owners of empty properties in bringing
1,000 of the above 1,173 empty properties back into use:

                                                                                  27
Time            Amount of
    period           investment
  2015/2016         £1,395,536.91
  2016/2017         £2,010,002.00
  2017/2018         £3,149,351.00
  2018/2019         £3,514,768.50
  2019/2020         £2,712,453.12

     Total         £12,782,111.53*

 *Please note that the level of investment prior to 2015 was not recorded

Securing and recovering Council Tax and other debt

When Council Tax debt is identified on an empty home, an officer secures this debt
against the property in the form of a Charging Order. This means that when a
property is sold, or the Council enforces the sale, the debt is recovered. This has
only been recorded since 2019 when the Empty Homes Team recruited an officer
dedicated to this function.

          Time period               Amount of Council Tax             Amount of Council Tax
                                         recovered                      further Secured
           2019/2020                    £100,763.41                       £272,977.19
             Total                      £373,740.40

Empty Home Grants

The number of Empty Home grants allocated during the period of the last strategy is
as follows:

     Period         Number of        Total cost ofEmpty Home        Match
                     grants           renovation     Owner’s       Funded
                    allocated                      investment       Grant
   2014/2015            15           £166,375.99   £97,411.99      £68,964
   2015/2016            20           £290,827.74   £197,316.24   £93,511.50
   2016/2017            23            £540,427     £430,409.50 £110,017.50
   2017/2018            10           £404,391.33   £354,391.33     £50,000
   2018/2019            25          £1,189,223.63 £1,064,223.63   £125,000
   2019/2020            28          £1,253,285.00 £1,113,287.50 £139,997.50

      Total             121         £3,844,530.69 £3,257,040.19 £587,490.50

                                                                                              28
Case Studies

Case Study 1

                  Before and after photos of the renovation works

The Empty Homes Team received a referral from the Private Sector Housing
Enforcement team for this property which was in a state of disrepair suffering from
damp and mould. The tenants had moved out due to the poor property conditions
                                                                                      29
and the owner decided to sell the property on the open market following discussions
with the case officer.

A new owner purchased the property and extensive advice was offered regarding
how to renovate the property into either a large family house, four separate self-
contained flats or a four bed HMO. The new owner decided to begin renovation
works to change the use of the property into four self-contained flats.

Following discussions with the Empty Homes Officer, the owner was offered help
with the complicated and costly renovation work to the property. The owner
encountered many difficulties along the way and the Empty Homes Team assisted in
overcoming these difficulties ranging from solving technical problems, arranging
financial assistance, liaising with Building Inspectors, Architects and Energy
Assessors, and offering support. The renovation of the flats took place between
June 2017 and March 2020.

The house originally suffered from enhanced damp and mould growth with the energy
performance of the property in March 2017, rated at a mid “F” Banding which is very
poor. The estimated heating and hot water costs of the property per year were
£2,370, meaning that a family on a low income would find it extremely difficult to
afford to adequately heat the property and struggle to afford the hot water costs to
bathe regularly. Following the conversion of the property into four self-contained flats
the energy performance rating of each self-contained flat now ranges from a mid “C”
to a high “C” banding. The cost of heating and hot water production for the high “C”
banded self-contained flat is only £235 per year and the accumulative total cost of
heating and hot water production for all four self-contained flats is only £1,147; less
than half the costs of the house before the change of use.

The advantages of the conversion of this property, with the assistance of the Empty
Homes Team and Landlord Accreditation Scheme, are as follows:

       Provision of three additional high quality, single bedroomed self-contained
        flats to meet the housing need.
       The removal of significant hazards to health to any resident or visitor to the
        property.
       Improving the quality of the housing stock and the local area.
       Removing the likelihood of anti-social behaviour and rodent activity connected
        with empty houses in a state of disrepair, and hence a drain on Council
        services.
       Generation of Council Tax revenue for the three additional Band A properties
        per year. The additional Council Tax revenue will repay the Landlord
        Accreditation Grant in just over 18 months.
                                                                                         30
   In addition to the grant, the owner spent additional private investment
        improving this property.
       A boost to the local economy in terms of building materials and work for
        trades people locally.
       A reduction in carbon saving on each property, helping to combat
        climate change.

Following the completion of the renovation, the owner was thankful for the help and
assistance that they had received from the team, and submitted a corporate
compliment.

Case Study 2 - Conversion of a long term empty engineers’ workshop into 7 high
specification flats

             Before and after photos of the renovation and conversion

This property had been empty for three years. In November 2018 the Empty
Homes Team responded to a request from a member of the Landlord
Accreditation Scheme to offer renovation advice for the conversion of a former
Engineers building/site from an industrial to residential change of use. A
meeting was arranged to meet the prospective purchasers on-site to consider
the feasibility of the proposal. During the meeting advice was given regarding
the physical renovation of the building, the environmental requirements, energy
conservation, and the termination of any potential pollution pathway of any
industrial contaminant into the site. The prospective purchasers were reassured
by the advice offered and they proceeded with the purchase of the building/site.
The building/site was purchased in January 2019 and the new owners
requested a meeting on-site to discuss further the specification of a conversion
of the building/site into seven self-contained flats. A schedule of works was
completed compliant to the Housing Act 2004, The Building Regulations 2013
                                                                                      31
and the Standard Assessment Procedure (Version 9, to meet energy
performance requirements) and the owners proceeding to undertake the
renovation works. The works were completed to a very high standard and all of
the flats have now been occupied, providing much needed housing for single
households.

Case Study 3

                  Before and after photos of the renovation works

This semi-detached property was in a very poor condition and although it had only
been unoccupied for just over two years it had not been maintained. There were
broken windows which had been boarded to keep the elements out, the window
frames were rotten, the porch above the front door was in an unsafe condition, the
roof was in need of repair, the brick garage was in a dire state and the garden was
vastly overgrown.

Complaints to the City Council had been received regarding the condition of the
property stating that it had remained empty for some time and was deteriorating at a
rapid rate.

The Empty Homes team carried out investigations to ascertain who the owner was
and also visited the property and posted a ‘Request for contact’ card. Investigations
provided confirmation of the whereabouts of the owner.

The family were contacted by the Empty Homes Team and in response to the letter
discussions were initiated. On this occasion the family were able to discuss the
property and make decisions moving forward. Initially, the property needed to be
cleared and family visited regularly to achieve this before putting the property on the
market.

Once the property was sold the Empty Homes Team contacted the new owner and a
dialogue was struck up to ascertain the intentions for the future of the property. The
                                                                                        32
property was to be fully renovated which included, a full rewire, plastering, brickwork,
new kitchen & bathroom and windows across the whole property. The Empty Homes
Team role was to liaise with the new owners until the property had been refurbished
and was put back on the market. It was then sold again to owner occupiers who are
very happy in their new and fully refurbished home.

There were several benefits of bringing this property back into use which include;

        A good quality, fully refurbished home for a young couple starting out.
        Bringing a property up to a good standard which now compliments the local
         community appearance.
        Provision of an additional high quality property to meet the housing need.
        The removal of significant hazards to health to any resident or visitor to the
         property.
        Improving the quality of the housing stock and the local area.
        Removing the likelihood of anti-social behaviour and rodent activity connected
         with empty houses in a state of disrepair, and hence a drain on Council
         services.

7.   Delivering the Empty Homes Strategy
The action plan is based on the existing resources available. The outcomes
achieved will be dependent on the budgets available to deliver the Strategy and thus
may be reduced to reflect any reduction in budgets.

Empty homes which have been brought back into use as a result of the team’s
involvement will count towards the achievement of the principal target. The team’s
involvement will be demonstrated through the use of the toolkit.

The team has adopted, as a baseline, the national agreement that any
involvement to bring an empty home back into use will only be attributed to the
team and recorded if officers have had active involvement in returning the property
back into use.

To help to ensure the objectives of this Strategy are achieved, the team collect the
following data and will report the data to the Director of Housing, Development
and Growth as part of the performance framework.

     1. The number of empty homes brought back into use with the assistance of the
        Empty Homes Team each year.
     2. The number of additional units of accommodation created through the
        conversion of long term empty homes.
     3. The amount of Council Tax debt collected and secured in relation to empty
                                                                                          33
properties.
    4. The method with which the Empty Homes Team helped to bring the empty
       property back into use.
    5. The level of private sector investment spent by owners bringing their long
       term empty home back into use.

8. Action Plan
Delivery of the Empty Homes Strategy will be supported by an action plan as set out
in Appendix 1. The action plan will be monitored regularly with updates provided to
the Director for Housing, Development and Growth and the Portfolio Holder for
Housing.

9. Consultation
The Council has consulted a range of partners, residents, businesses and
landlords on the Objectives and Actions contained within this Empty Homes
Strategy. The feedback received has helped to shape and strengthen this
Strategy and the Empty Homes Service. The Consultation Plan can be found in
Appendix 6.

10. Contact details
Any queries or requests for information on any of the details contained within this
Empty Homes Strategy can be directed to:

The Empty Homes Team
Private Sector Housing Team
01782 233086

privatesectorhousing@stoke.gov.uk

                                                                                      34
Appendices. Appendix 1: Empty Homes Strategy Action Plan
          Aim                            Action                            Outcome                  Lead Officer        Date                Monitoring
Bring 200 long term        The Empty Homes Team will           Reduction in the number of long     Empty Homes      Monthly           Figures will be
empty homes back into      offer help and assistance to        term empty homes within the         Team                               collected and reported
use each year – This is    owners to help them to bring        city and the creation of                                               on a monthly basis
Stronger Together          their properties back into use      additional units of
Strategic Plan measure     to meet housing need as             accommodation
                           demonstrated in the
                           Council’s housing register.
                           Enforcement action may be
                           used, where necessary.
Generate additional        The Team will provide technical     Creation of additional units of     Empty Homes      Assistance will   Figures will be
units of                   advice to empty home owners         high quality and energy             Environmental    be offered as     collected and reported
accommodation from         to assist them in the conversion    efficient accommodation to          Health Officer   and when a        on a monthly basis
long term empty            of their property into an HMO or    meet the housing need and                            suitable empty
homes                      self-contained flats.               also create additional council                       property is
                                                               tax accounts and revenue.                            identified
Proactively target short   Every six months the Empty          Reduction in the length of time a   Empty Homes      Six monthly       Quarterly reporting to
term empties in order to   Homes Team will utilise the         property remains empty before       Officers                           the Strategic
reduce the number of       Council Tax Data to identify        being returned to use.                                                 Manager– Private
long term empties in the   those properties which have                                                                                Sector Housing
city.                      been empty between 6 -12
                           months. Officers will then write
                           to the owners of these properties
                           to offer help and assistance to
                           bring the property back into use.
Widely promote the         Every six months the Empty          An increase in the number of        Empty Homes      Six monthly       Quarterly reporting to
problems associated        Homes Team will use social          empty homes reported through        Team                               the Strategic
with empty                 media to publicise the problems     to the Council and an increase                                         Manager– Private
properties, the            that empty homes bring, the         in the number of owners willing                                        Sector Housing
benefits of bringing       mutual benefits of returning        to accept help and assistance
them back into use         them back into use and how          from the team to bring a
and the empty homes        people can refer an Empty           property back into use.
referral process.          Property in to the Council.
Maximise debt            Every three months the Empty        Securing the debt owed to the     Court and     Quarterly   Quarterly reporting to
recovery opportunities   Homes Team will utilise Council     Council.                          Appeals                   the Strategic
                         Tax data to identify those          Increase in income in the         Officer                   Manager– Private
                         properties where the Council        General Fund through                                        Sector Housing
                         Tax debt exceeds £1,000.            collecting outstanding debt
                         Officers will then apply for a      whilst also returning long term
                         Charging Order to register this     empty homes back into use
                         debt against the property and
                         enforce the sale if unpaid. This
                         action will only be used as a
                         last resort; the owner will be
                         provided with help and advice
                         regarding the debt and empty
                         property prior to any
                         enforcement action being
                         undertaken.

Maximise debt            Every three months the Empty        Increase in income in the         Empty Homes   Monthly     Quarterly reporting to
recovery opportunities   Homes Team will utilise the         General Fund through              Officer                   the Strategic
                         Council’s Sundry Debt data to       collecting of outstanding debt                              Manager– Private
                         identify those properties with at   whilst also returning long term                             Sector Housing
                         least £300 debt. The team will      empty homes back into use
                         then undertake feasibility
                         checks and if deemed
                         appropriate, will commence the
                         process of enforcing the sale of
                         the property. This action will
                         only be used as a last resort;
                         the owner will be provided with
                         help and advice regarding the
                         debt and empty property prior
                         to any enforcement action
                         being undertaken.
Appendix 2: City Map detailing each empty home and the length of time
vacant, as at February 2020

                                                                        37
Appendix 3: City Map detailing empty homes by Council Tax Band as at
F ebruary 2020

                                                                       39
Appendix 4: City map detailing empty properties and Index of Multiple
Deprivation Decile as at February 2020
Appendix 5: Main Statutory Enforcement Options and Tools
      Anti-Social Behaviour Crimes and Policing Act 2014 - to deal with land
       and properties which are affecting the amenity of an area.

      Building Act 1984, section 79 - to deal with an empty home which is
       seriously detrimental to the amenity or to the neighbourhood.

      Building Act 1984, section 59 - to deal with the condition of the drainage to
       a building which is prejudicial to health or is a nuisance.

      Building Act 1984, Section 78 - to fence off the area and or take emergency
       action to make the property safe in regards to a dangerous building or
       structure.

      Building Act 1984, Section 77 - to make the property safe where danger
       arises from the condition of the building or structure.

      Building Act 1984, Section 76 - to deal with premises in such a state
       (“defective state”) and determined to be either prejudicial to health or a
       nuisance. Notices can be served in order to direct owners to carry out the
       necessary works or for the local authority to carry out emergency action.

      Environmental Protection Act, 1990, Section 80 - to deal with premises
       which are in such a state and determined to be either prejudicial to health
       or a nuisance. Notices can be served in order to direct owners to carry
       out the necessary works or for the Local Authority to carry out emergency
       action.

      Housing Act 2004, Part One, sections 11, 12, - requires the owner to make
       the property safe if category 1 or category 2 hazards are present.

      Housing Act 2004, sections 20 and 21 - prohibits the use of a property
       where at least a category 1 hazard exists and additional category 2 hazards
       exist.

      Housing Act 2004, section 237 - served where confirmation or further
       information regarding property ownership; interests or other information is
       required.

      Housing Act 2004, section 239 - informs all relevant interested parties of the
       Council’s intended inspection for empty property verification purposes and to
       ensure tenanted property attains the statutory minimum standards.
   The Housing Act 2004 Part 4 - Empty Dwelling Management Orders
        (EDMO) allow the Council to take control over an unoccupied building and
        make sure that empty properties are occupied and managed properly.
        Ownership remains with the empty property owner

       Housing Act 1985, section 17 Compulsory Purchase Orders - to take
        control over an unoccupied building and acquire the property in
        circumstances where the Local Authority can demonstrate housing need.

       Housing Act 1985, section 265 - where a building is considered to be
        ruinous and dilapidated or a dangerous structure the Council can serve a
        notice on the owner requiring them to demolish or repair the building within a
        set timescale.

       Housing and Planning Act 2016, section 172 - authority to enter and
        survey or value land in connection with a proposal to acquire an interest in or
        a right over land.

       Public Health Act 1936 Section 79 - to serve notice and remove any
        noxious accumulations on land and to carry out works in default if
        accumulations are not moved within a specified time.

       Public Health Act 1961, Section 17 - requires the owner to address blocked
        or defective drains and sewers.

       Public Health Act 1961, Section 34 - requires the owner to deal with any
        accumulations of rubbish which appears to be detrimental to the local
        amenity. Failure to comply can result in the Local Authority carrying works
        out in default.

       Prevention of Damage by Pests Act 1949, section 4 - applies where the
        condition of the property is such that it is providing or likely to provide
        harbourage to rodents.

       Local Government (Miscellaneous Provisions) Act 1976, section 15 - to
        enter land (and property on that land) in connection with a proposal to acquire
        a compulsory interest in that land.

       Local Government (Miscellaneous Provisions) Act 1976, section 16 -
        served where confirmation or further information regarding property
        ownership; interests or other information is required.

       Local Government (Miscellaneous Provisions) Act 1982, Section 29 -
        requires the owner to take steps to secure the property or allows the Local
        Authority to board it up in an emergency.
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